Corpn struggles to pay staff salaries

KEY PROJECTS MAY TAKE A BACK SEAT

Corpn struggles to pay staff salaries

Komal.Gautham@timesgroup.com

Chennai:15.07.2021 

Greater Chennai Corporation between April and July collected ₹130 crore more in property tax than in the same period last year. But its bank overdraft increased, from ₹250 crore (in 2018) to ₹450cr (in January 2021), dues to contractors are ₹200cr and its debt rose from ₹2,200 crore to ₹2,500 crore.

This means projects funded by capital funds in education, health care and solid waste management will take a back seat as has been happening for more than eight years.

Post 2014, ‘spending’ on projects and taking huge loans for big ticket projects that are neither good in quality nor improve citizens’ lives have led to this financial crisis, says activists.

The corporation’s income comes from property tax (₹720 crore), professional tax (₹350cr) and about ₹720 crore in central and state finance commission grants apart from ₹19 crore as trade licence renewal and ₹240 crore in parking fee, rents and other user charges.

While no major revenue mechanism has been created in the past 10 years, projects like smart parking and ‘onstreet parking’ got stuck due to Covid. The property tax revision rollback in February 2020 took a huge toll on finances.

“Right now, paying ₹80 crore-₹100 crore in salaries every month is a herculean task, with ₹10 crore going for interest payments. Bank overdrafts have crossed ₹500cr. We improved a little in 2019 after tax revision but are back to where we were in 2018,” said an official.

Activists say the corporation has been announcing big ticket packages taking huge loans from external agencies.

“Some projects are important but it’s the manner in which they are awarded and implemented that puts a big financial burden,” said Jayaram Venkatesan of Arappor Iyakkam, an anti-graft NGO. “Most new drains and roads scrape off every year notwithstanding the 3-year maintenance period,” Venkatesan added.

A former IAS official who worked with the corporation said there are many ways the civic body can improve its finances instead of resorting to cost cutting.

“Many recommendations have been lying idle since 2009,” he said.

Gold appraiser held for cheating bank of more than ₹4.5 crore

Gold appraiser held for cheating bank of more than ₹4.5 crore

TIMES NEWS NETWORK

Chennai:15.07.2021

A 52-year-old man who worked as a gold appraiser at Union Bank of India, Tiruvallur branch was arrested for pledging fake gold and swindling the bank of more than ₹4.5 crore between 2018 and 2020.

The incident came to light during the bank’s audit carried out recently. The bank manager informed the higherups about the swindling.

The auditing team confirmed that K M Meganathan, the gold appraiser at the branch, had cheated the bank of more than ₹4.5 crore between 2018 and 2020.

Inquiries revealed that Meganathan, who had been employed at the bank since 2011, admitted that he had submitted fake gold in names of 137 individuals with an intention to cheat the bank.

Based on the complaint of Biraja Prasad Das, deputy general manager of the branch, the Tiruvallur district crime branch registered a case. Due to the pandemic, police said, the bank officials delayed lodging the complaint.

Tiruvallur superintendent of police V Varun Kumar reviewed the case and ordered action against the accused. Following this, a police team led by deputy superintendent of police P Asokan and inspector of police Lilly, apprehended Meganathan from his house. He was produced before a magistrate court in Ponneri on Tuesday.

According to the direction of the court, an RT-PCR test was conducted on him and then he was remanded in Ponneri subjail. If the test result comes negative, he will be shifted to the Puzhal prison along with other prisoners from the Ponneri subjail.

Get a broom, let’s clean HC, says CJ

Get a broom, let’s clean HC, says CJ

TIMES NEWS NETWORK

Chennai:15.07.2021

The Madras high court has directed its registry to ensure that the campus is 100% disabled-friendly and elderly-friendly besides being litter-free and green. “One Sunday, come with a broomstick and bucket, we will all clean the high court campus together. I will also come,” chief Justice Sanjib Banerjee

said on Wednesday.

The first bench of chief Justice and Justice Senthilkumar Ramamoorthy made the oral observation while hearing a plea moved by N Rajkumar, seeking to maintain the campus green and clean and an affidavit with suggestions to make the court campus more friendly to people with disabilities and elderly.

Recording the same, the bench said, “Over the past couple of months or so, the campus has looked greener and cleaner than ever before. However, this green and clean has come at the cost of litigants and lawyers being kept out due to the second surge of the pandemic.”

The court then directed the registrar (administration) of the court to look into the suggestions and file a report when the matter appears next six weeks. “The registrar will also look into the access problems referred to by the petitioner, particularly for persons with disabilities, elderly citizens and others who may be infirm. Better lift facilities may also be explored, particularly in the Small Causes Court area,” the judges said.

The registrar was also directed to indicate whether wheelchairs are available for persons with disabilities to move around. “There may also be a need for more than one ambulance to be ready,” the court added and adjourned the plea to September 1for further hearing.

Mastercard can’t issue new cards from July 22

Mastercard can’t issue new cards from July 22

RBI Clampdown Over Local Data Storage Norms

Mayur.Shetty@timesgroup.com

Mumbai:15.07.2021

Flexing its muscles on the issue of data localisation, the Reserve Bank of India on Wednesday barred Mastercard from onboarding any new domestic customer from July 22.

The directive bars the USbased network from issuing either prepaid, credit or debit cards to new customers under its network in India. The RBI said the order would not impact existing customers of Mastercard.

Mastercard is the secondlargest credit card issuer (after Visa) in India and the central bank’s tough stance could have implications on foreign relations. The RBI has been pushing all regulated entities to store data relating to Indian customers on Indian soil since April 2018.

Disappointed by RBI stance: Mastercard

Notwithstanding lapse of considerable time and adequate opportunities being given, the entity has been found to be non-compliant with the directions on storage of payment system data,” the RBI said in a statement.

While it is banks and finance companies that issue cards, they partner either Mastercard, Visa or RuPay for network usage. Whenever a card is swiped, the processing takes place on the payment network cloud. Mastercard has been directed to advise all card-issuing banks and non-banks to conform to these directions.

“Mastercard is fully committed to our legal and regulatory obligations in the markets we operate in. Since the issuance of the RBI directive requiring on-soil storage of domestic payment transaction data in 2018, we have provided consistent updates and reports regarding our activities and compliance with the required stipulations. While we are disappointed with the stance taken by the RBI in their communication dated July 14, we will continue to work with them to provide any additional details required to resolve their concerns,” the company said.

In terms of the number of employees, India ranks second among all markets for Mastercard. The company has invested $1bn in India and has announced plans to invest $1bn more.

Mastercard is the third US company to face an RBI ban after American Express and Diners Club, which faced similar restrictions in April. Amex has said that while it is not accepting fresh applications, it is committed to complying with all regulations.

The RBI’s directive appears to have come as a surprise for Mastercard. As recently as July 8, Mastercard announced the launch of a ‘One Mumbai Metro Card’ in partnership with Axis Bank and Mumbai Metro. Others in the industry were also shocked as Master-Card had agreed to comply.

NEET panel files report, says ‘most don’t want it’

NEET panel files report, says ‘most don’t want it’

15.07.2021

Justice A K Rajan panel appointed by TN to study the impact of NEET in medical admissions submitted a 165-page report to chief minister M K Stalin on Wednesday. While Justice Rajan did not reveal the contents of the report, sources said the panel has pointed out how rich students living in cities have a better chance of getting medical seats under NEET, the lack of level-playing field under the test for students with poor access to facilities such as internet, and how the test undermines students’ performance in Class12 exam.

The report was prepared after looking into 86,000 representations from stakeholders, a majority of whom said they “don’t want NEET,” Justice Rajan told reporters at the secretariat. The impact of NEET on aspirants and several sections of society has been dealt with and the report is completely based on data and not on personal opinions, he said answering a question.

Two TN ministers, meanwhile, said the government will continue training students for NEET-2021 until the state gets an exemption from the test. “As of now MBBS admissions is NEET based,” health minister Ma Subramanian said. TNN

Cabinet lifts freeze on DA, increases it to 28% from 17%

Cabinet lifts freeze on DA, increases it to 28% from 17%

TIMES NEWS NETWORK

New Delhi:15.07.2021

The government on Wednesday announced an increase in the dearness allowance for central government employees and dearness relief for pensioners to 28%, from the current 17%, lifting the 18-month suspension to cover inflation.

The freeze that had been imposed in the wake of the coronavirus outbreak was expected to help the Centre save ₹38,000 crore — a little more than the ₹35,000 crore budgeted for the current fiscal year for vaccinating against coronavirus.

“The increase reflects the additional instalments arising on 1 January, 2020, 1 July, 2020 and 1 January, 2021. The rate of dearness allowance/dearness relief for the period 1 January, 2020 to 30 June 2021 shall remain at 17%,” an official statement said.

The development that was being closely watched by central government employees, immediately saw them pulling out calculators to work out the impact on their salaries and allowances.

A large section, however, was not pleased with the announcement. Some argued that “their contribution” in helping the Centre fight Covid-19 should be recognised by the government.

Others said that those who retired during the last few months would have lost out on some leave encashment and pension-related benefits.

Besides, many viewed the increase for the last six-month period to be inadequate, arguing that retail inflation had shot up and the price of auto fuel, edible oil and several pulses had soared to record levels.

Government officials had justified the freeze on DA, arguing that central government employees and pensioners too needed to contribute during a health emergency, which had resulted in companies slashing salaries.

NEET MDS 2021 - Announce Counselling Dates Within One Week; Delay Affects Students' Future, Supreme Court To Centre

NEET MDS 2021 - Announce Counselling Dates Within One Week; Delay Affects Students' Future, Supreme Court To Centre

Srishti Ojha

12 July 2021 4:14 PM

"Imagine what a loss to India by not allowing a whole batch of PG students to complete their education for 1 year", the bench orally observed.

The Supreme Court on Monday directed the Union Ministry of Health and Family Welfare to announce the counselling dates for NEET-MDS 2021 within a week.

A bench comprising Justices DY Chandrachud and Hrishikesh Roy observed that the delay in counselling will lead to serious consequences to the students, who have been waiting after the test results were announced on December 31, 2020.

The Court passed the following order :

"Prima facie we have heard Senior Advocate Vikas Singh for petitioners and ASG Mr KM Natraj appearing for Union Ministry of Health and Family Welfare. On the request of ASG we grant one week's time for a response to the grievance set out in petition.

We expect that an expeditious decision will be taken within course of next week and court be informed when Union Government proposes to hold counselling for students whose MDS NEET results were declared on 31 December 2020. We hope that the Union Government would be conscious of the serious consequences which will be faced by these students as a result of long delay in completing the counselling".

Courtroom Exchange:

During the hearing, the Bench asked ASG KM Nataraj " these petitioners appeared in NEET MDS and results were declared in December. Merely because NEET PG has been postponed how can you stop counselling for MDS?"

Senior Counsel Vikas Singh appearing for petitioners submitted that, "This exercise has to be done virtually... so this can be done. When you talk about controlled environment you can always have covid appropriate behaviour. There's likelihood of third wave only when there is covid inappropriate behaviour".

Singh added that " I don't understand why one batch has been suffering. And no body is giving any thought of it. I can understand Kumbh mela, election rallies happening or tourists flocking without masks, but these are completely regulated environments. There's no justification why counselling can't take place."

ASG Natraj submitted, "We want to hold counselling and its our duty. The issue is different, regards to some reservation. Recently Madras High Court passed an order to provide reservation under All India quota and Committee was constituted to work out modalities".